The filing noted that McComb will receive cash payments totaling $6.5 million, representing two times his base salary and target bonus. He will also receive continued medical, long-term disability and life insurance coverage for two years from his separation date. McComb will be eligible to receive an annual incentive bonus based on actual performance in 2014, prorated and subject to terms of the company’s cash bonus plan. In addition, the board agreed to nonaccelerated continued vesting of the unvested stock options on the original schedule on various future dates in 2014, 2015 and 2016. They are:
• 187,500 options granted on March 1, 2011, with an exercise price of $4.97.
• 187,500 options granted as of Sept. 1, 2011, with an exercise price of $5.05.
• 281,250 options granted as of March 1, 2012, with an exercise price of $11.10.
• 198,750 options granted on June 3, 2013, with an exercise price of $21.20.
As reported, Craig Leavitt, ceo of Kate Spade, will succeed McComb as ceo of the newly named Kate Spade & Co. Deborah Lloyd will be chief creative officer of the renamed company, and George Carrara, currently executive vice president, chief operating officer and chief financial officer of F&P, will become president and chief operating officer of the renamed company. The change of name and management changes are effective following the release of fourth-quarter earnings on Feb. 25.
As a result of the management transition, F&P estimates it will take onetime noncash severance charges of $16.5 million and cash severance charges of $6.5 million in the first quarter of 2014.
The filing noted that the initial term of Leavitt and Lloyd’s new roles will begin on the position start date and will end on Dec. 31, 2014. It will automatically renew for successive one-year periods unless the company or the executive delivers a notice of nonrenewal at least 180 days before the next automatic extension.
Leavitt will receive a base salary of $1.5 million, and Lloyd will receive $1.9 million. In addition, Leavitt will receive a target annual cash bonus opportunity equal to 150 percent of base salary, while Lloyd will have a bonus opportunity of 175 percent of base salary, with a maximum opportunity equal to 200 percent of the target opportunity. The agreement also calls for an annual long-term incentive award having a total target and/or grant date value of no less than $5 million for Leavitt and $3.275 million for Lloyd, among other incentives. Carrara’s compensation hasn’t been finalized yet.
Leading luxury brand are shaking things up to keep up with streetwear. Case in point: the arrival of @mrkimjones as artistic director of @diorhomme. Jones, who succeeds @Kris_Van_Assche, is seen as one of the handful of designers who can actually straddle the luxury and streetwear worlds — which could lead to even more changes at established brands. What could this mean for the rest of the menswear landscape? Head to WWD.com to find out what experts predict #wwdfashion (📷: @franckmura)
“It’s like buying groceries. You’re going to buy the best mango, the best mozzarella, the best things. You have to, or others are going to take it all,” said @gabrielahearst on why she uses only the finest fabrics. Last week, Hearst received her first @cfda nomination for Womenswear Designer of the Year, and earlier this month she opened a permanent showroom in Paris. To read @jessiredale’s interview with the designer and find out why this is shaping up to be a big year for her, head to WWD.com. #wwdfashion (📷: @francoisgoize)
“It’s an interesting thing, playing a younger version of your mother. It’s an interesting concept. I adore my mom and love her in every capacity, but it was just something that had never crossed my mind,” says @anniemstarke on playing a young Joan Castleman in “The Wife.” The same role will be played by her mother Glenn Close. Read more about her growing up in the film industry as the daughter of producer John H. Starke and Close and what she has planned for the future #wwdeye (📷: @nataliamantini)
@asics is launching a new streetwear sneaker inspired by its latest ambassador, @steveaoki. The Hyper-Kenzen x Aoki, which will launch at @footlocker stores exclusively tomorrow, is a slip-on style that incorporates the brand’s proprietary Gel technology through beads integrated into the midsole for comfort and endurance. Read the full story on WWD.com.
@beyonce chose a custom gown by @falgunishanepeacockindia for mother @mstinalawson 's second annual Wearable Art Gala last night. The gown, which took 10 days to make, was inspired by Nubian warrior queen Amanishakheto. Reporting by @hernameislex . #wwdeye 👑 🐝#beyonce
After dressing @justintimberlake for his Super Bowl halftime performance last month, @stellamccartney has designed the star’s "Man of the Woods" tour wardrobe. Timberlake will be wearing a mix of pieces from McCartney’s fall men's collection as well as custom designs and items from his own closet. #wwdfashion